Professional Documents
Culture Documents
REPORT
ON
DECLARATION
I hereby declare that the Project report titled SERVICE
QUALITY OF HDFC BANK is my original work and has not
been published or submitted for any degree, diploma or other
similar titles elsewhere. This has been undertaken for the
purpose of partial fulfillment of the Requirements for the award
of BBA degree
Date:
Waseem Ansari
BBA
Waseemansari721@gmail.com
PREFACE
2
.
Waseem Ansari
BBA
Waseemansari721@gmail.com
ACKNOWLEDGMENT
3
INDEX
CONTENTS
PAGE NO.
1. INTRODUCTION
2. COMPANY PROFILE
3. SERVICE QUALITY IN BANKS
4. RESEARCH OBJECTIVE
5. RESEARCH METHODOLOGY
6. DATA ANALYSIS
7. FINDINGS OF THE REPORT
8. CONCLUSION
9. RECOMMENDATIONS
10. BIBLIOGRAPHY
11. ANNEXURE: QUESTIONNAIRE
INTRODUCTION OF BANKING
5
Todays finicky banking customers will settle for nothing less. The customer has
come to realize somewhat belatedly that he is the king. The customers choice of
one entity over another as his principal bank is determined by considerations of
service quality rather than any other factor. He wants competitive loan rates but at
the same time also wants his loan or credit card application processed in double
quick time. He insists that he be promptly informed of changes in deposit rates and
service charges and he bristles with customary rage if his bank is slow to redress
any grievance he may have. He cherishes the convenience of impersonal net
banking but during his occasional visits to the branch he also wants the comfort of
personalized human interactions and facilities that make his banking experience
pleasurable. In short he wants financial house that will more than just clear his
cheque and updates his passbook: he wants a bank that cares and provides great
services.
So does HDFC bank meet these heightened expectations? What are the customers
perceptions of service quality of the banks? Which dimension of service quality of
HDFC bank is performing well? To find out answers to these questions I undertook
a survey of 2 branches of HDFC bank.
A lot of surveys have been done in the past to understand the aspect of customer
satisfaction and to find out the customer friendly banks. My research is conducted
to find out SERVICE QUALITY OF HDFC BANK.
COMPANY
PROFILE
The Housing Development Finance Corporation Limited (HDFC) was amongst the
first to receive an 'in principle' approval from the Reserve Bank of India (RBI) to
set up a bank in the private sector, as part of the RBI's liberalisation of the Indian
Banking Industry in 1994. The bank was incorporated in August 1994 in the name
of 'HDFC Bank Limited', with its registered office in Mumbai, India. HDFC Bank
commenced operations as a Scheduled Commercial Bank in January 1995.
HDFC Bank comprises of a dynamic and enthusiastic team determined to
accomplish the vision of becoming a World-class Indian bank. HDFC banks
business philosophy is based on our four core values - Customer Focus,
Operational Excellence, Product Leadership and People. They believe that the
ultimate identity and success of their bank will reside in the exceptional quality of
people and their extraordinary efforts. They are committed to hiring, developing,
motivating and retaining the best people in the industry.
BUSINESS FOCUS
HDFC Bank's mission is to be a World-Class Indian Bank. The objective is to build
sound customer franchises across distinct businesses so as to be the preferred
provider of banking services for target retail and wholesale customer segments, and
to achieve healthy growth in profitability, consistent with the bank's risk appetite.
The bank is committed to maintain the highest level of ethical standards,
professional integrity, corporate governance and regulatory compliance. HDFC
Bank's business philosophy is based on four core values - Operational Excellence,
Customer Focus, Product Leadership and People.
4. People.
The objective of the HDFC Bank is to provide its target market customers a full
range of financial products and banking services, giving the customer a one-step
window for all his/her requirements. The HDFC Bank plus and the investment
advisory services programs have been designed keeping in mind needs of
customers who seeks distinct financial solutions, information and advice on
various investment avenues.
BUSINESS STRATEGY
10
DISTRIBUTION NETWORK
HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable
network of over 1229 branches spread over 444 cities across India. All branches
are linked on an online real-time basis. Customers in over 120 locations are also
serviced through Telephone Banking. The Bank's expansion plans take into
account the need to have a presence in all major industrial and commercial centers
where its corporate customers are located as well as the need to build a strong retail
customer base for both deposits and loan products. Being a clearing/settlement
bank to various leading stock exchanges, the Bank has branches in the centers
where the NSE/BSE has a strong and active member base.
The Bank also has a network of about over 2526 networked ATMs across these
cities. Moreover, HDFC Bank's ATM network can be accessed by all domestic and
international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American
Express Credit/Charge cardholders.
PROMOTER
HDFC is India's premier housing finance company and enjoys an impeccable track
record in India as well as in international markets. Since its inception in 1977, the
Corporation has maintained a consistent and healthy growth in its operations to
remain a market leader in mortgages. Its outstanding loan portfolio covers well
over a million dwelling units. HDFC has developed significant expertise in retail
mortgage loans to different market segments and also has a large corporate client
base for its housing related credit facilities. With its experience in the financial
markets, a strong market reputation, large shareholder base and unique consumer
franchise, HDFC was ideally positioned to promote a bank in the Indian
environment.
11
MANAGEMENT
Mr. C.M. Vasudev has been appointed as the Chairman of the Bank with effect
from 6th July 2010 subject to the approval of the Reserve Bank of India and the
shareholders. Mr. Vasudev has been a Director of the Bank since October 2006. A
retired IAS officer, Mr. Vasudev has had an illustrious career in the civil services
and has held several key positions in India and overseas, including Finance
Secretary, Government of India, Executive Director, World Bank and Government
nominee on the Boards of many companies in the financial sector.
The Managing Director, Mr. Aditya Puri, has been a professional banker for over
25 years, and before joining HDFC Bank in 1994 was heading Citibank's
operations in Malaysia.
The Bank's Board of Directors is composed of eminent individuals with a wealth
of experience in public policy, administration, industry and commercial banking.
Senior executives representing HDFC are also on the Board.
Senior banking professionals with substantial experience in India and abroad head
various businesses and functions and report to the Managing Director. Given the
professional expertise of the management team and the overall focus on recruiting
and retaining the best talent in the industry, the bank believes that its people are a
significant competitive strength.
TECHNOLOGY
HDFC Bank operates in a highly automated environment in terms of information
technology and communication systems. All the bank's branches have online
connectivity, which enables the bank to offer speedy funds transfer facilities to its
customers. Multi-branch access is also provided to retail customers through the
branch network and Automated Teller(ATMs).
The Bank has made substantial efforts and investments in acquiring the best
technology available internationally, to build the infrastructure for a world class
bank. The Bank's business is supported by scalable and robust systems which
ensure that our clients always get the finest services we offer.
The Bank has prioritised its engagement in technology and the internet as one of its
key goals and has already made significant progress in web-enabling its core
businesses. In each of its businesses, the Bank has succeeded in leveraging its
market position, expertise and technology to create a competitive advantage and
build market share.
12
QUALITY POLICY
SECURITY: The bank provides long term financial security to
bank does this by offering life insurance and pension products.
TRUST: The bank appreciates the trust placed by their policy holders in the bank.
Hence, it will aim to manage their investments very carefully and live up to this
trust.
INNOVATION: Recognizing the different needs of our customers, the bank offers
a range of innovative products to meet these needs.
INTEGRITY
CUSTOMER CENTRIC
PEOPLE CARE ONE FOR ALL AND ALL FOR ONE
TEAM WORK
JOY AND SIMPLICITY
13
BUSINESS
HDFC Bank offers a wide range of commercial and transactional banking services
and treasury products to wholesale and retail customers. The bank has three key
business segments.
Wholesale Banking Services The Bank's target market ranges from large, bluechip manufacturing companies in the Indian corporate to small & mid-sized
corporates and agri-based businesses. For these customers, the Bank provides a
wide range of commercial and transactional banking services, including working
capital finance, trade services, transactional services, cash management, etc. The
bank is also a leading provider of structured solutions, which combine cash
management services with vendor and distributor finance for facilitating superior
supply chain management for its corporate customers. Based on its superior
product delivery / service levels and strong customer orientation, the Bank has
made significant inroads into the banking consortia of a number of leading Indian
corporates including multinationals, companies from the domestic business houses
and prime public sector companies. It is recognised as a leading provider of cash
management and transactional banking solutions to corporate customers, mutual
funds, stock exchange members and banks.
Treasury
Within this business, the bank has three main product areas - Foreign Exchange
and Derivatives, Local Currency Money Market & Debt Securities, and Equities.
With the liberalisation of the financial markets in India, corporates need more
sophisticated risk management information, advice and product structures. These
and fine pricing on various treasury products are provided through the bank's
Treasury team. To comply with statutory reserve requirements, the bank is required
to hold 25% of its deposits in government securities. The Treasury business is
responsible for managing the returns and market risk on this investment portfolio.
15
SERVICE QUALITY
IN
BANKS
16
In the days of intense competition, the banks are no different from any other
consumer marketing company. It has become essential for the service firms in
general and banks in particular to identify what the customer's requirements are
and how those customer requirements can be met effectively. In the days where
product and price differences are blurred, superior service by the service provider
is the only differentiator left before the banks to attract, retain and partner with the
customers. Superior service quality enables a firm to differentiate itself from its
competition, gain a sustainable competitive advantage, and enhance efficiency .The
benefits of service quality include increased customer satisfaction, improved
customer retention, positive word of mouth, reduced staff turnover, decreased
operating costs, enlarged market share, increased profitability, and improved
financial performance. The construct of service quality has therefore been a subject
of great interest to service marketing researchers.
Service quality has been defined by various experts in various ways as: 'Service
Quality is the difference between customers' expectations for service performance
prior to the service encounter and their perceptions of the service received.'
According to Gefan Service quality is the subjective comparison that customers
make between the qualities of service that they want to receive and what they
actually get.' Parasuraman says, 'Service quality is determined by the differences
between customer's expectations of services provider's performance and their
evaluation of the services they received.
Service quality is 'the delivery of excellent or superior service relative to customer
expectations. Service quality is recognized as a multidimensional construct. While
the number of dimensions often varies from researcher to researcher, there is some
consensus that service quality consists of three primary aspects: outcome quality,
interaction quality, and physical service environment quality. Outcome quality
refers to the customer's assessment of the core service which is the prime
motivating factor for obtaining the services (e.g. money received from ATM).
Interaction quality refers to the customer's assessment of the service delivery
process, which is typically rendered via a physical interface between the service
provider, in person, or via technical equipment, and the customer. It includes, for
instance, the consumer's evaluation of the attitude of the service providing staff.
The physical service environment quality dimension refers to the consumer's
evaluation of any tangible aspect associated with the facilities or equipment that
the service is provided in/ with. It includes, for example, the physical conditions of
an ATM machine.
17
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DIMENSIONS OF SERVICE
QUALITY
19
20
In the case of services, because customers are often either direct observers of the
production process or active participants, how the process is performed also has a
strong influence on the overall impression of the quality of service. A wellperformed service encounter may even overcome the negative impression caused
by poor technical quality as well as generate positive word-of-mouth, particularly
if customers can see that employees have worked very hard to satisfy them in the
face of problems outside their control. Employees are part of the process, which
connects with the customer at the point of sale, and hence employees remain the
key to success at these service encounters or moments of truth. It is these
encounters with customers during a service that are the most important
determinants of overall customer satisfaction, and a customers experience with
the service will be defined by the brief experience with the firms personnel and
the firms systems. The rudeness of the banks customer service representative, the
abruptness of the employee at the teller counter, or the lack of interest of the person
at the check deposit counter can alter ones overall attitude towards the service,
perhaps even reversing the impression caused by high technical quality.
21
Performing the service accurately is perhaps the most important factor in service
quality excellence. The cost of performing the service inaccurately includes not
only the cost of redoing the service but also the cost associated with negative
word-of-mouth generated by displeased customers. In case of services, the factory
is the field. Again, services are intangible and hence the criteria for flawless
services are more subjective than the criteria for defect-free tangible goods. Hence
for most services, customers perceptions of whether the service has been
performed correctly, and not provider-established criteria, are the major
determinants of reliability.
The service quality factor tangible is defined by whether the physical facilities and
materials associated with the service are visually appealing at the bank. These are
all factors that customers notice before or upon entering the bank. Such visual
factors help consumers form their initial impressions. A crucial challenge in service
marketing is that customers cannot see a service but can see the various tangibles
associated with it - all these tangibles, the service facilities, equipment and
communication materials are clues about the intangible service. If unmanaged,
these clues can send to the customers wrong messages about the service and
render ineffective the marketing strategy of the company. On the other hand,
improving quality through tangibles means attention to the smallest details that
competitors might consider trivial. Yet, these visible details can add up for
customers and signal a message of caring and competence.
Customers may reveal new aspects of service quality in banking that are important
to them, and these would have to be incorporated in the scale so as to further
explore the concept of service quality in the banking arena.
22
RESEARCH OBJECTIVE
AND
RESEARCH
METHODOLOGY
RESEARCH OBJECTIVE
The objective of the study is as follows:
23
To find out the level of perception of the customers from the service quality
offered by the banks.
24
The study would try to throw some insights into the existing services
provided by the banks, perceptions and the actual service quality of the
bank. The results of the study would be able to recognize the lacunae in
the system and thus provide key areas where improvement is required
for better performance and success ratio. In the days of intense
competition, superior service is the only differentiator left before the
banks to attract, retain and partner with the customers. Superior service
quality enables a firm to differentiate itself from its competition, gain a
sustainable competitive advantage, and enhance efficiency
SCOPE OF STUDY
The scope of this research is to identify the service quality of HDFC bank. This
research is based on primary data and secondary data. This study only focuses on
the dimensions of service quality i.e. RATER. It aims to understand the skill of the
company in the area of service quality that are performing well and shows those
areas which require improvement. The study was done taking two branches of
HDFC bank into consideration. The survey was restricted to the bank customers in
Delhi only.
RESEARCH METHODOLOGY
DATA SOURCE
25
Primary Data:
The primary data was collected by means of a survey. Questionnaires were
prepared and customers of the banks at two branches were approached to fill up the
questionnaires. The questionnaire contains 20 questions which reflect on the type
and quality of services provided by the banks to the customers. The response of the
customer and the is recorded on a grade scale of strongly disagree, disagree,
uncertain, agree and strongly agree for each question. The filled up information
was later analyzed to obtain the required interpretation and the findings.
Secondary Data:
In order to have a proper understanding of the service quality of bank a depth study
was done from the various sources such as books, a lot of data is also collected
from the official websites of the banks and the articles from various search engines
like Google, yahoo search and answers.com.
RESEARCH DESIGN
The research design is exploratory till identification of service quality parameters.
Later it becomes descriptive when it comes to evaluating customer perception of
service quality of the banks.
Descriptive research, also known as statistical research, describes data and
characteristics about the population or phenomenon being studied. Descriptive
research answers the questions who, what, where, when and how.
Although the data description is factual, accurate and systematic, the research
cannot describe what caused a situation. Thus, descriptive research cannot be used
to create a causal relationship, where one variable affects another. In other words,
descriptive research can be said to have a low requirement for internal validity.
The description is used for frequencies, averages and other statistical calculations.
Often the best approach, prior to writing descriptive research, is to conduct a
survey investigation. Qualitative research often has the aim of description and
26
researchers may follow-up with examinations of why the observations exist and
what the implications of the findings are
RESEARCH SAMPLE
SAMPLING PLAN:
Since it is not possible to study whole universe, it becomes necessary to take
sample from the universe to know about its characteristics.
Sampling Units: Customers of HDFC bank
Sample Technique: Random Sampling.
Research Instrument: Structured Questionnaire.
Contact Method: Personal Interview.
SAMPLE SIZE:
27
The work is a case of HDFC Bank, one of the largest bank of Indian banking
industry together representing over 25 per cent of the market share of Indian
banking space. The survey was conducted in the city of Delhi with two branches of
HDFC Bank, with 50 customers as respondent.
1.
Strongly disagree
2.
Disagree
3.
4.
Agree
5.
Strongly agree
The study is only for the HDFC Bank confined to a particular location and a
very small sample of respondents. Hence the findings cannot be treated as
representative of the entire banking industry.
The study can also not be generalized for public and private sector banks of
the country.
Respondents may give biased answers for the required data. Some of the
respondents did not like to respond.
29
DATA
ANALYSIS
Ques. Age
30
AGE CATEGORY
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
18-23 Years
10
20
20
24-29 Years
17
34
54
30-35 Years
15
30
84
16
100
50
100
Sales
18-23 Year
24-29 Year
30-35 Year
35 and above
31
INTERPRETATION
From the table and graph above it can be seen that
20% respondents age are 18 to 23 years.
34% respondents age are 24 to 29 years.
30% respondents age are 30 to 35 years..
16% respondents age are 35 to above years.
CATEGORY
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
UNDER
GRADUATE
13
26
26
GRADUATE
20
40
66
17
34
100
50
100
POST GRADUATE
TOTAL
32
Sales
UNDERGARDUATE
GRADUATE
POST GRADUATE
INTERPRETATION
From the table above it can be seen that.
26% respondents are Under graduate.
40% respondents are Graduate.
34% respondents are Post graduate.
33
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
STRONGLY
DISAGREE
10
10
DISAGREE
25
50
60
UNCERTAIN
16
32
92
AGREE
100
TOTAL
50
100
Sales
STRONGLY DISAGREE
DISAGREE
UNCERTAIN
AGREE
34
INTERPRETATION
HDFC bank has modern-looking and hi-tech equipments. Here analysis show that
most of the respondents disagreed with this statement. Among the total respondents
50% disagreed, 32% were neutral and 8% agreed. After analysis I found that
majority of the respondents think that HDFC Bank do not have modern looking
equipments or no hi-tech equipments.
DISAGREE
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
UNCERTAIN
29
58
66
AGREE
17
34
100
TOTAL
50
100
35
Sales
DISAGREE
UNCERTAIN
AGREE
INTERPRETATION
HDFC banks physical facilities are visually appealing. From this statement I
found that 17 persons agreed. 29 persons were uncertain and 4 persons disagreed.
This means 58% people
were uncertain about this statement. Out of the total respondents only 4%
disagreed and no one strongly agreed or disagreed with the statement. 17% people
agreed that HDFC banks physical facilities are visually appealing.
36
SCALE
DISAGREE
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
10
10
UNCERTAIN
21
42
52
AGREE
18
36
88
12
100
50
100
STRONGLY AGREE
TOTAL
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGY AGREE
37
INTERPRETATION
HDFC banks employees appear neat. Here analysis shows that majority were
neutral. Among the total respondent 21 respondents were neutral, 18 people agreed
and 6 respondents strongly agreed. The rest disagreed. From analysis I found that
some respondents agreed with this statement but most of the respondents think the
employees of the HDFC bank appear neat.
FREQUENCY
DISAGREE
14
14
UNCERTAIN
22
44
58
18
36
94
100
50
100
AGREE
STRONGLY
AGREE
TOTAL
PERCENTAGE
38
CUMULATIVE
PERCENTAGE
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY
AGREE
INTERPRETATION
Materials associated with the service are visually appealing at HDFC bank. Here
36% respondents agreed with this statement and 6% strongly agreed with this
statement. 44% were neutral that is most and 14% disagreed. There was no
respondent who strongly disagreed. Hence, in general it can be concluded that
materials associated with the services such as pamphlets or statements are visually
appealing.
39
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
STRONGLY
DISAGREE
DISAGREE
26
52
56
10
66
14
28
94
100
50
100
UNCERTAIN
AGREE
STRONGLY AGREE
TOTAL
40
Sales
STRONGLY DISAGREE
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
INTERPRETATION
My sample size was 50. Here analysis shows that among the total respondents 26
respondents disagreed and 14 respondents agreed with this question. Also I found
that 5 people were neutral and 2 people strongly disagreed. Hence I concluded that
majority of them disagreed that the bank when promises to do something by certain
time, it does so.
41
Ques. 6 When you have a problem, the bank shows a sincere interest
in solving it.
SCALE
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
UNCERTAIN
14
28
34
AGREE
26
52
86
STRONGLY AGREE
14
100
TOTAL
50
100
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
42
INTERPRETATION
When you have a problem, HDFC bank shows sincere interest in solving it. After
analysing this statement I found that most of the respondents agreed i.e. 52%
respondents agreed. Also I found that 28% were neutral with this statement and 6%
were committed with disagree. There was no one who strongly disagreed. Hence
HDFC bank can be said to be reliable.
Ques.7 The bank performs the service right the first time.
SCALE
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
STRONGLY
DISAGREE
DISAGREE
16
20
UNCERTAIN
17
34
54
AGREE
17
34
88
STRONGLY AGREE
12
100
TOTAL
50
100
43
Sales
STRONGLY DISAGREE
DISAGREE
AGREE
STRONGLY AGREE
UNCERTAIN
INTERPRETATION
Total sample size was 50. Here analysis shows that among the total respondents 17
people agreed with this statement. They think that HDFC bank performs the
services right the first time. 6 people strongly agreed with this statement. Also 17
people were neutral and the rest of the respondents disagreed and strongly
disagreed.
44
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
10
10
UNCERTAIN
10
20
30
AGREE
23
46
76
STRONGLY AGREE
12
24
100
50
100
TOTAL
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
45
INTERPRETATION
Bank insists on error free records. HDFC bank has proved from my analysis that it
surely insist on error free records as 46% respondents agreed with this statement
and 24% strongly agreed. Only 10% respondents disagreed and no one strongly
disagreed.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
STRONGLY
DISAGREE
12
12
DISAGREE
16
28
UNCERTAIN
13
26
54
AGREE
18
36
90
STRONGLY AGREE
10
100
TOTAL
50
100
46
Sales
STRONGLY DISAGREE
DISAGREE
UNCERTAIN
STRONGLY AGREE
AGREE
INTERPRETATION
Employees in the bank tell you exactly when the services will be performed.
Majority of the respondents agreed with this statement. 26% respondents were
uncertain. At the same time 16% disagreed and 12% Strongly disagreed with this
statement.
47
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
10
10
UNCERTAIN
16
32
42
AGREE
27
54
96
STRONGLY AGREE
100
TOTAL
50
100
SCALE
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
48
INTERPRETATION
Most of the respondents agreed with this statement. According to my analysis,
employees in HDFC Bank give prompt service. Among the total respondents
agreed respondents were 27 and strongly agreed were 2. 16 people were neutral
and 5 disagreed. There was no respondent who strongly disagreed with this
statement.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
UNCERTAIN
12
24
24
AGREE
29
58
82
STRONGLY AGREE
18
100
TOTAL
50
100
49
Sales
UNCERTAIN
AGREE
STRONGLY AGREE
INTERPRETATION
Employees in HDFC bank are willing to help you. With this statement no one
disagreed or strongly disagreed. Strongly agreed were 9 people i.e. 18%
respondents strongly agreed, 29 people agreed i.e. 58% respondents agreed and
24% respondents were neutral.
50
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
UNCERTAIN
11
22
24
AGREE
27
54
78
STRONGLY AGREE
11
22
100
TOTAL
50
100
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
51
INTERPRETATION
Employees in HDFC Bank ltd are never too busy to respond to your request. After
analyzing this statement I found that most of the respondents agreed with this
statement. Among the total respondents 22% strongly agreed and 54% agreed. 11
respondents were neutral and 1 respondent disagreed. No one strongly disagreed.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
UNCERTAIN
13
26
34
AGREE
28
56
90
STRONGLY AGREE
10
100
TOTAL
50
100
52
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
INTERPRETATION
The employees of the bank are trustworthy. According to my findings, 54%
respondents agreed that employees at HDFC bank are trustworthy. 13%
respondents were neutral and 4% respondents disagreed with this statement.
53
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
28
56
56
UNCERTAIN
64
AGREE
13
26
90
STRONGLY AGREE
10
100
TOTAL
50
100
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
54
INTERPRETATION
The behavior of employees in HDFC bank instills confidence in you. Here analysis
shows that most of the people disagreed. Among the total respondents 28
respondents disagreed, 13 agreed and 5 strongly agreed. There was no respondent
who strongly disagreed. This means 56% respondent disagreed with this statement.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
10
10
UNCERTAIN
16
32
42
AGREE
23
46
88
STRONGLY AGREE
12
100
TOTAL
50
100
55
Sales
1st Qtr
2nd Qtr
3rd Qtr
4th Qtr
INTERPRETATION
With this statement most of the respondents agreed. Among the total respondents
23 agreed with this statement and 6 strongly agreed. 32% respondents were neutral
and 10% respondents disagreed. But there no one who strongly disagreed.
56
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
UNCERTAIN
18
22
AGREE
26
52
74
STRONGLY AGREE
13
26
100
TOTAL
50
100
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
57
INTERPRETATION
From my analysis I found that 54% respondents agreed that employees of HDFC
bank have complete knowledge to answer their questions. 26% respondents
strongly agreed to this statement and only 4% disagreed. 18% neither agreed nor
disagreed.
SCALE
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
26
52
52
UNCERTAIN
12
24
76
AGREE
10
20
96
STRONGLY AGREE
100
TOTAL
50
100
58
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
INTERPRETATION
HDFC bank is not able to give individual attention to its customers as out of the
total respondents 54% disagreed with this statement. 12% of the respondents were
neutral and only 12% agreed and 2% strongly agreed. From this finding it can be
concluded that it is unable to give individual attention to its customers.
59
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
UNCERTAIN
14
28
32
AGREE
27
54
86
STRONGLY AGREE
14
100
TOTAL
50
100
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
60
INTERPRETATION
HDFC bank has operating hours convenient to all its customers. Out of 50
respondents, 27 respondents agreed with this statement and only 2 respondents
disagreed. Also 7 respondents strongly agreed that the bank has operating hours
convenient to its customers.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
STRONGLY
DISAGREE
DISAGREE
10
16
UNCERTAIN
10
20
36
AGREE
25
50
86
STRONGLY AGREE
14
100
TOTAL
50
100
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INTERPRETATION
HDFC bank has your best interests at heart. Here analysis shows that 25
respondents agreed and 7 respondents strongly agreed with this statement. 20%
were neutral and the rest disagreed and strongly disagreed.
FREQUENCY
PERCENTAGE
CUMULATIVE
PERCENTAGE
DISAGREE
10
10
UNCERTAIN
21
42
52
AGREE
20
40
92
STRONGLY AGREE
100
TOTAL
50
100
62
Sales
DISAGREE
UNCERTAIN
AGREE
STRONGLY AGREE
INTERPREATION
Employees of HDFC bank understand specific needs. With this statement most of
the respondents were neutral. Among the total respondents 20 respondents agreed
and 4 respondents strongly agreed. 5 respondents disagreed with this statement.
63
Measuring the quality of a service can be a very difficult exercise. Unlike product
where there are specific specifications such as length, depth, width, weight, colour
etc. a service can have numerous intangible or qualitative specifications.
Parasuraman, Zeithaml, and Berry (1985) provide a list of determinants of service
quality: access, communication, competence, courtesy, credibility, reliability,
responsiveness, security, understanding, and tangibles. A total of five consolidated
dimensions of service quality are:
Tangibles (ques.1 to 4) - Physical facilities, equipments and appearance of
personnel
Reliability (ques.5 to 8) - Ability to perform the promised service dependably and
accurately
Responsiveness (ques.9 to 12) Willingness to help customers and provide prompt
services
Assurance (ques.13 to 16) (including competence, courtesy, credibility and
security) Knowledge and courtesy of employees and their ability to inspire trust
and confidence
Empathy (ques.17 to 20) (including access, communication and understanding
the customer) Caring and individualized attention that firm provides to its
customer.
In order to calculate which dimension of service quality is performing well, a
sample of the questions are used in the questionnaire. Using the questionnaire,
obtain the score for each of the 20 statements. After analysis of the data, Overall
score to each statement is given on a scale of 1 to 5 i.e. 1 is given to strongly
disagreed i.e. the lowest score, then 2= disagreed, 3= uncertain, 4= agreed and 5=
strongly agreed.
Sum the score for each dimension of service quality to obtain a final score which
tells which
dimension is performing well and which dimension needs improvement.
64
Points
11
1. TANGIBILITY (1 TO 4)
13.5
2. RELIABILITY (5 TO 8)
16
3. RESPONSIVENESS (9 TO 12)
14
13
65
66
67
CONCLUSION
Based on the study conducted it can be concluded that responsiveness, assurance
and reliability are the critical dimensions of service quality of HDFC bank and they
are directly related to overall service quality. The factors that may delight
customers tend to be concerned more with the intangible nature of the service,
commitment, attentiveness, friendliness, care, and courtesy.
The employees give prompt services, always are ready to answer the
questions and are trustworthy. The main sources of dissatisfaction appear to be
cleanliness, up to date technology modern equipments, and neatly dressed up
employees. The Tangibility dimension of service quality of HDFC bank is highly
disappointing and serious steps are needed to be taken to enhance this dimension.
Customers of the bank are dissatisfied with the empathy dimension. To satisfy
these customers, the management can take some attempts, noted earlier as
recommendations.
The study brings about the areas which require urgent attention of
the employees, the management, and the policy makers of the industry. These are
areas in which customers are hugely dissatisfied with the services of the banks
against their expectation. This high degree of dissatisfaction resulting from the
services received clearly questions the design of services or subsequent response of
the bank employees. These limitations are too serious to be avoided as these
question the front-line people dealing with the customers and the approach of the
management in taking customers seriously.
The management should understand the benefits of service quality. It include
increased customer satisfaction, improved customer retention, positive word of
mouth, reduced staff turnover, decreased operating costs, enlarged market share,
increased profitability, and improved financial
performance. In the days of intense competition, superior service is the only
differentiator left before the banks to attract, retain and partner with the customers.
Superior service quality enables a firm to differentiate itself from its competition,
gain a sustainable competitive advantage, and enhance efficiency. Thus, improving
service quality leads to the customer satisfaction and, ultimately, to customer
loyalty.
68
RECOMMENDATIONS
Reliability
69
70
BIBLIOGRAPHY
References:
Kotler Philip, marketing management, (Pearson education, 12th edition)
Malhotra K. Naresh, marketing research (An applied orientation), Research design,
(Prentice hall of India pvt. 5th edition)
Zeithmal V. A., Grembler D.D., Bitner M.j., and Pandit A.: Service Marketing
Integrated customer Focus across the Firm (4th Edition)
M.K. Rampal : Service Marketing
Websites
www.hdfcbank.com
www.hdfcindia.com
www.wikipedia.org
www.marketresearch.com
71
ANNEXURE
QUESTIONNAIRE
Respected Sir/Madam
I am student of SBS, Sharda University conducting a survey on
SERVICE QUALITY OF HDFC BANK. The following statements
relate to your feelings about the HDFC bank. Please show the extent to
which you believe HDFC bank has the feature described in the
statement. I request you to the option which in your opinion are
believed to be true.
Name:
Age:
Educational Qualifications
QUESTIONS
Strongly
Disagree
Disagree
Neither
agreeNor
disagree
Agree
Strongly
Agree
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